$22B allocation could see major transformation in the agri sector
The allocation of some $22 billion to the agricultural sector would see major transformation within the agriculture sectors says Minister Zulfikar Mustapha. The Minister told the National Assembly that the $383 billion budget can ensure the agriculture sector remains “diversified, resilient, and competitive.”
It provides “the catalyst for the revitalization of the agriculture sector,” Mustapha told the House on Wednesday when he added his voice to the debate on the budget as he said it can aid in “the reclamation of Guyana as the breadbasket of the Caribbean and agriculture powerhouse of the hemisphere.”
Among the transformative plans for this sector is the government’s revitalization of the sugar industry. The government has budgeted some $ 7 billion for the sugar industry. Among the plans the government has for the industry is the value-added packaged sugar line, “to realize this potential, significant investments have been planned to expand the Blairmont packaging plant, quadrupling its current capacity. Moreover, we will be re-tooling the Enmore Packaging Plant,” Minister Mustapha said, this is to “to support the paradigm shift to packaged sugar, as a result of these strategic actions, the sugar industry will be less dependent on the treasury.”
A plan developed by Guysuco’s board is designed to return the industry to return the industry to cash neutrality by 2026 the Agriculture Minister said. Additionally, the government has started a rehiring process for sugar workers as it said that to date, some 1000 former sugar workers have been rehired.
Among the other transformative plans is to ensure that rice markets are expanded. “In 2020 two new markets were secured and we began exporting rice and paddy to Hungary and Latvia,” Minister Mustapha said, “Additionally, Guyana will soon be exporting an additional 24,000 tons of rice to Brazil, taking the total to 34,000 tons.”
He said too rice farmers are not burdened with the high cost of production, “farmers are now benefitted from the removal of VAT on machinery, equipment, fertilizers, and pesticides, thereby reducing the high production cost.”
Critical to the agriculture sector are drainage and irrigation, “$12 billion is being invested in critical interventions across the country,” the Minister said, “our farmers will benefit from critical drainage and irrigation works that will be done by the National Drainage and Irrigation Authority across our primary agricultural producing regions and the MMA-ADA in Region 5,” he pointed out. In Region two, $100M has been allocated for the rehabilitation of Pump Station at Andrews, Essequibo Coast, which will see improvement in the drainage for approximately 3,000 acres of land, the Minister said.
In region Three, $120M has been allocated for the design and construction of Pump Station at Greenwich Park/Barnwell Area, EBE, this is expected to prevent flooding of approximately 2000 acres of both farm and residential land.
IN region four, $30M has been allocated for the construction of Georgetown Drainage System & Infrastructure, this is improve drainage in the capital city of Georgetown. Some $350 Million will be spent on the construction of new Dam on the North Eastern Dam of the East Demerara Water Conservancy, “this will provide protection, improved drainage and irrigation and reduce flooding for over 300,000 residents on the East Coast of Demerara,” the Minister told the House.
